Core Viewpoint - Wanxiang Technology has announced the termination of its convertible bond issuance and the lithium battery project, which was initially a key part of its transformation strategy. The project faced multiple delays and funding cuts before its final cancellation, with remaining funds of 26.8 million yuan being allocated to supplement working capital [1][6]. Project Investment Progress - As of September 20, 2025, the investment progress for the lithium battery project reached 81.08%, and the construction was nearly complete. The production equipment has been put into operation, and mass production and delivery have commenced, meeting customer needs for a certain period [2]. Project History - The project was initially planned with a budget of 217.4 million yuan to produce 39 million micro lithium-ion batteries annually, with a construction period of 1.75 years. However, in August 2023, the project was delayed until December 31, 2024, and the budget was reduced to 117.4 million yuan, reallocating 100 million yuan for other projects [3][4]. Financial Performance - In the first half of 2025, the company reported a revenue of 634 million yuan, a year-on-year increase of 31.94%, but the net profit attributable to shareholders was only 2.01 million yuan, a significant decline of 85.71%. The non-recurring net profit was -981,400 yuan, a drop of 685.31% [6]. Business Segment Analysis - The revenue from the new energy power/storage business reached 167 million yuan, a substantial increase of 91.67%, but the gross margin for this segment was only 0.99%, down 6.35 percentage points year-on-year. The operating cash flow was negative at -32.24 million yuan [6]. Strategic Concerns - The frequent changes in investment plans suggest a potential lack of market insight from the management. The decision to terminate the project was influenced by external economic conditions and customer demand, raising questions about the initial market assessment and strategic planning [7][8]. Investor Confidence - The repeated delays and changes in the investment projects have raised concerns about the company's strategic planning and market judgment, potentially undermining investor confidence [8].
万祥科技终止10亿募投项目和6亿融资计划 中报增收减利毛利率连降3年半